Edison International · NYSE:EIX
Edison International — Q1 2017 Earnings Presentation
15 slides from Edison International's earnings presentation, May 1, 2017
Slide 1: First Quarter 2017 Financial Results
First Quarter 2017 Financial Results May 1, 2017
Slide 2: Forward-Looking Statements
Forward-Looking Statements Statements contained in this presentation about future performance, including, without limitation, operating results, capital expenditures, rate base growth, dividend policy, financial outlook, and other statements that are not purely historical, are forward-looking statem
Slide 3: First Quarter Earnings Summary
First Quarter Earnings Summary Q1 Q1 Variance Key SCE EPS Drivers 2017 2016 Revenue3,4 $0.12 Basic Earnings Per Share (EPS)1 - CPUC – Escalation 0.11 SCE $1.07 $0.90 $0.17 - CPUC – Other 0.01 EIX Parent & Other 0.04 (0.04) 0.08 Lower O&M 0.06 Basic EPS $1.11 $0.86 $0.25 Higher depreciation (0.04) Hi
Slide 4: 2017 EIX Earnings Per Share Guidance
2017 EIX Earnings Per Share Guidance 2017 Earnings Per Share Guidance Key Assumptions As of Reaffirmed As of • SCE authorized rate base $26.2 billion February 21, 2017 May 1, 2017 • Energy efficiency earnings $0.03 per Low Mid High Low Mid High share EIX Basic EPS $4.04 $4.14 $4.24 $4.04 $4.14 $4.24
Slide 5: General Rate Case Update – ORA Testimony
General Rate Case Update – ORA Testimony ($ billions) ORA submitted testimony on April 7, 2017 • Proposed 2018 revenue requirement increase of $14 million above 2017 versus SCE’s request of a $222 million increase over presently authorized base rates • Proposed post test year increases: 2.7% and 4.2
Slide 6: Other First Quarter Finance Topics
Other First Quarter Finance Topics SCE Capital Spending and Rate Base Forecasts • At request level, continue to see 8.6% average annual rate base growth opportunity through 2020 • Potential for at least $4 billion of capital spending and at least $2 billion of rate base growth annually well into the
Slide 7: Appendix
Appendix May 1, 2017 6
Slide 8: SCE Capital Expenditure Forecast – Request Level
SCE Capital Expenditure Forecast – Request Level ($ billions) $19.3 Billion Capital Program for 2017-2020 Traditional Capital Spending: • Capital expenditure forecast incorporates GRC, FERC and Distribution Transmission Generation non-GRC CPUC spending – unchanged from prior quarter Grid Modernizati
Slide 9: SCE Rate Base Forecast – Request Level
SCE Rate Base Forecast – Request Level ($ billions) 4-year CAGR of 8.6% Traditional Grid Modernization CPUC $34.6 • Rate base based on request levels from $32.0 2018 GRC and 2018 positive true-up from $29.3 authorized to forecast 2017 rate base $26.2 $24.9 FERC • FERC rate base is approximately 19%
Slide 10: SCE Large Transmission Projects
SCE Large Transmission Projects Summary of Large Transmission Projects Remaining Investment Project Name Total Cost4 In-Service Date (as of March 2017) West of Devers1,3 $1.1 billion $1.01 billion 2021 Mesa Substation1 $608 million $577 million 2022 Alberhill System2 $397 million $360 million 2021 R
Slide 11: MHI Award Accounting
MHI Award Accounting ($ millions) • On March 13, 2017, a decision was received MHI Arbitration Decision Calculation from the International Chamber of Commerce International Court (ICC) Total Liability Under Contract $137.5 regarding the MHI Arbitration Additional Interest (to be paid by MHI) 33.7 •
Slide 12: Earnings Non-GAAP Reconciliations
Earnings Non-GAAP Reconciliations ($ millions) Reconciliation of EIX GAAP Earnings to EIX Core Earnings Earnings Attributable to Edison International Q1 Q1 2017 2016 SCE $349 $295 EIX Parent & Other 13 (15) Discontinued Operations − 1 Basic Earnings $362 $281 Non-Core Items SCE $– $− EIX Parent & Ot
Slide 13: SCE Core EPS Non-GAAP Reconciliations
SCE Core EPS Non-GAAP Reconciliations Reconciliation of SCE Basic Earnings Per Share to SCE Core Earnings Per Share Earnings Per Share Attributable to SCE 2011 2012 2013 2014 2015 2016 CAGR Basic EPS $3.33 $4.81 $2.76 $4.46 $3.06 $4.22 5% Non-Core Items Regulatory and tax items — 0.71 — — — — Write
Slide 14: 2016 Retrospectively Adjusted EPS by Quarter
2016 Retrospectively Adjusted EPS by Quarter 20161 Q4 Q3 Q2 Q1 Earnings (loss) per share attributable to Edison International Continuing Operations SCE $4.22 $1.01 $1.34 $0.98 $0.90 Edison International Parent & Other (0.23) (0.04) (0.05) (0.11) (0.04) Discontinued Operations 0.03 0.04 (0.01) Ed
Slide 15: Use of Non-GAAP Financial Measures
Use of Non-GAAP Financial Measures Edison International's earnings are prepared in accordance with generally accepted accounting principles used in the United States. Management uses core earnings internally for financial planning and for analysis of performance. Core earnings are also used when com